23
QuizMultiple Choice

Income and Education — Test

Question 23 • CMS 2026-2027 Economics and Personal Finance INITIAL CREDIT

In addition to federal income tax, many people also pay

Answer
A
local medicare tax.
B
corporate tax.
C
state income tax.
D
local social security tax.

Explanation

Many people pay both federal and state income taxes on their earnings. Corporate tax is paid by corporations, while Social Security and Medicare taxes are federal payroll taxes, not local taxes. The correct choice is state income tax.

AI-written and checked against the verified answer.

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